How Garfield County Uses Tax–Exempt Revenue Bonds to Fuel Growth

The Garfield County Industrial Authority (GCIA) was created as a public trust on April 29, 1969. GCIA plays a vital role in supporting economic development across the region by offering creative financing solutions for key projects. One of the most effective tools in its portfolio is the issuance of tax-exempt revenue bonds—a type of financing that encourages private investment in projects with public benefit, all without burdening local taxpayers. 

What Are Tax-Exempt Revenue Bonds? 

Tax-exempt revenue bonds are municipal bonds issued by GCIA, who serves as the conduit issuer, to help finance projects that serve a public purpose and align with the economic development goals of the region. What makes these bonds attractive to investors is that the interest they earn may be exempt from both federal and state income taxes, making them a lower-risk investment. 

These bonds are not backed by the taxing power of Garfield County or the State of Oklahoma. Instead, they are repaid entirely from the revenue generated by the project being financed—such as lease payments or service fees. This structure ensures that no taxpayer dollars are at risk. 

What Can They Be Used For? 

GCIA can issue tax-exempt revenue bonds to support a wide range of public-benefit projects. To qualify for tax-exempt status, the project must meet strict IRS requirements and demonstrate a significant benefit to the community—such as job creation, improved services, or economic diversification. 

How the Process Works 

1. Project Application Phase (Steps 1 – 3) 
   A business, nonprofit, or developer submits a formal request to GCIA to issue bonds on its behalf. 
2. Public Review & Legal Compliance Phase (Steps 4 – 8) 
   The GCIA evaluates the proposal, holds public hearings, and works with bond counsel to ensure the project meets IRS and state legal requirements for tax-exempt financing. 
3. Bond Issuance Phase (Steps 9 – 10) 
   Once approved, GCIA issues the bonds and sells them to investors. The proceeds are used to finance the project directly. 
4. Repayment by the Project Sponsor 
   The borrowing entity (not GCIA or Garfield County) is fully responsible for repaying the bondholders, usually over 10 to 30 years. 

Why This Matters for Garfield County 

Tax-exempt revenue bonds are a powerful development tool. They enable the GCIA to support major projects that bring new jobs, services, and infrastructure to the region—without raising taxes or taking on debt. By lowering financing costs for these projects, GCIA helps make Garfield County more competitive for investment and long-term economic growth. 

Recent Impact 

Over the years, GCIA’s bond issuances have supported everything from manufacturing expansions to utility infrastructure. These projects not only bring immediate economic benefits, such as construction jobs and local procurement, but also generate long-term value through ongoing employment and services. 

Want to Learn More? 
If your organization is considering a large-scale project and would like to explore tax-exempt bond financing, contact me at marcie@growenid.com or 580.233.4232 to learn more about eligibility, timelines, and requirements.